My husband and I racked up a large amount of debt. Our reasoning was we could afford the payments. Then the credit card companies jacked up the interest rates to 29% and would not tell us why (probably due to the large debt we owed). Over a couple of years I would call all the companies and ask them to lower the interest rate and they wouldn't. We continued to pay,never being late and never missing a payment. We were getting nowhere on the principal because our entire payment was going to interest. I called again. The representative told me the ONLY way they would lower the interest is if we missed a payment. Once we missed a payment they would refer us to a debt consolidation company. They (Chase) only worked with one company. I told the representative that I didn,t want to miss a payment. He said that was the only way they would lower our interest rate. I asked how low the would lower it to and they said 6%. we didn't want to miss a payment but at 6% we could actually start reducing the actual debt. So we missed one payment. That was 5 years ago. We were referred to Novadebt in NJ and they were absolutely wonderful. They always treated us with respect. We paid off over $100,000 in debt in 5 years . It was NOT easy. There were times we lived in substandard housing to make sure we could pay that monthly debt. We had two incomes, no children in tHe home so that helped. But, I will say every month one more payment was made, the debt lowered and it is now PAID IN FULL! It is such a liberating feeling. The debt consolidation did not hurt our credit. We have been able to buy a car and a very nice house. Good luck in your decision.

We refinanced the house for a lower rate and included other expenses in the mortgage and came out ahead.

"My husband and I racked up a large amount of debt. Our reasoning was we could afford the payments. "

This is where so many people get into trouble. If you could see, when you buy something for $1000, that over time you will be paying $1500 for it by paying over time, it doesn't look like such a bargain.

Always better to save up for it and pay cash or equivalent.

If a consolidation company is accredited with the BBB are they still ok to deal with or do you still have to take the chance?

So far I have been trying to call consol. companies but the local numbers have been going out of town. My husband really wants to physically see someone locally. Our bank no longer does consolidation or personal loans. Are ther lawyers out there that consolidate other than the bankruptcy?

DH and I agree a zillion percent! Around here, they work with the customer. They go out of their way to help. They find ways within the law and within your budget to help you. Things you would never consider because we aren't financial experts. They are.